Indifference curve

An indifference curve is the locus of point representing all the different combination of two goods which yield equal level of utility to the consumer

Properties of indifference curve

• Indifference curve are negatively sloped - given a combination of commodity X and community Y, with every increase in X, the amount in Y should fall in order that level of satisfaction from every combination should remain the same

• Indifference curve are convex to the origin-

• Indifference curve can never intersect each other - indifference curve can never intersect Each Other because each indifference curve represent a specific level of satisfaction. If two indifference curve intersect each other, then at the point of intersection, the consumer is experiencing two different level of utility.